Shopping Centers Today

MAY 2012

Shopping Centers Today is the news magazine of the International Council of Shopping Centers (ICSC)

Issue link: https://sct.epubxp.com/i/62026

Contents of this Issue

Navigation

Page 237 of 251

will also consider commercial and industrial properties, he says. The current retail scene is "challenging," but high-quality properties are always a good investment, Berman says. Grier agrees, pointing to "a sudden rebound in capital mar- kets for high-quality properties like those included in the EDT portfolio." The portfolio contains some strong power centers in areas Boston, Chicago, Minneapolis and Washington, and among the top tenants are Best Buy, Dick's Sporting Goods and TJX. "There are now deep pockets of capital dedicated to great assets," said Grier. Berman graduated from the University of Illinois with a de- gree in business and accounting just three years after arriving in America. Following a stint as an accountant, he earned an MBA in finance from The Wharton School and then went to work for The Balcor Co. Later he was finance director of the Ameritech Corp. real estate group. He joined General Growth Properties in 1999 as senior vice president of capital markets and finance and began spearheading the firm's plans to ex- pand internationally as founder and head of General Growth Properties International. But when General Growth filed for bankruptcy protection and stopped looking abroad for properties, Berman shifted his overseas search from retail centers to foreign investors. "We knew Alex when he was looking for overseas properties for General Growth," said Elbit CEO David Machluf. "While we never did any deals over here, we stayed in touch. And when we decided it was a good opportunity to invest in the U.S., our first call was to Alex." By this time Berman had left General Growth. Seren- dipitously, Berman was raising about $400 million to in- vest over two years. Once Elbit signed on, EPN sized up the turnaround potential of the Macquarie DDR Trust, buying a 48 percent stake in 2010 for $116 million. "We looked for other smaller investments, but nothing seemed as promis- ing," said Berman. "So we bought the remaining stake for about $242 million and took it private." EPN had enough funds to spruce up the properties, helping to boost occu- pancy from 85 percent to 90 percent. "It was a unique opportunity," said David Oakes, DDR's chief financial officer. DDR co-managed the properties with Macquarie but had no equity stake at the time of sale. The firm contributed $150 million in preferred equity to the Blackstone venture and will lease and manage the properties. Berman's networking skills have proved to be a profitable business asset. "I like people," he said, "and I realized real es- tate would be a good choice for me." SCT REPRINTS Take advantage of your editorial exposure Customized reprint products of articles from SHOPPING CENTERS TODAY create powerful marketing tools that serve as instantly credible endorsements. For the latest breaking news about shopping center development and the retail industry from Shopping Centers Today, follow @sctnews on Twitter and "like" us on Facebook. 238 SCT / MAY 2012 Reprints create a strong message for: • Sales Aids • Web ePrints • Tradeshow Handouts • Media Kit Supplements • Educational Programs • Direct Mail Campaigns • Recognition/Investor Confidence Call us today to learn more about how you can benefit from this cost-effective method of personalizing your marketing content. FosteReprints 866.879.9144 sales@fostereprints.com HISTORY IN MADRID A HISTORIC TRAIN STATION BECOMES A HOW THIS AND OTHER PROJECTS MELD PAST AND PRES TOP MALLS BURSTING WITH EXPANDING WAISTLINES, PLUS-SIZE OPPORTUNITIES PAGE 15 CDOs GO WHERE CMBS FEAR TO TREAD PAGE 46 GRITTY GOLD MINE: INDIA'S KHAN MARKET PAGE 57 RET M

Articles in this issue

Links on this page

Archives of this issue

view archives of Shopping Centers Today - MAY 2012